§ Mr. John Carlisleasked the Secretary of State for Trade if he will give advice to companies trading in South Africa which have received communication from the Centre on Transnational Corporations urging them to sever trading links with that country.
§ Mr. ButcherI have been asked to reply.
The United Nations Centre on Transnational Corporations has written to British companies with investments in South Africa in accordance with the terms of resolution 1981/86 of the United Nations Economic and Social Council, which, inter alia, called upon all trans-national corporations to terminate their investments in that country. The Government voted against this resolution in accordance with their view that foreign companies with a presence in South Africa are in a position to influence events in a positive direction. My Department drew the attention of the Confederation of British Industry to the Government's position on the resolution and recommended that companies should reply to the centre pointing out the benefits their activities bring, particularly for non-whites in South Africa. This advice has also been given to individual companies which approached the Department direct on the subject. Ultimately, however, it is for the companies concerned to reach their own judgments on whether and how to reply to these letters.